The age of the marketplace, where merchants and consumers meet in a centralized location and conduct commerce face-to-face, is slowly becoming a thing of the past. In today's global economy, business is more frequently being conducted using telephones, fax machines, and the Internet. In recent years, use of the Internet as a means for purchasing consumer goods has increased exponentially. Comprehending the magnitude of the Internet on the U.S. economy is most easily summed up by providing a snapshot of recent Internet sales figures. For example, $100 billion was spent on e-commerce in the United States during 2003. The fourth quarter of 2004 alone is expected to produce $22.34 billion in online sales. Online purchases of apparel and accessories will reach $7.5 billion in 2004. In 2003, 30% of all catalog purchases took place on the Web. Most U.S. companies, understanding the Internet's far reaching potential, now offer websites in which consumers can purchase merchandise and have it delivered right to their front door step. In fact, the vast majority of U.S. retailers are currently selling their products online.
The explosion of on-line commerce is not limited to traditional merchants such as Sears and Wal-Mart. Companies such as eBay, which operates online auctions, among other services, provide anybody with a computer or other suitable equipment with the ability to become an online retailer. Online auctions allow entities across the globe to bid on thousands upon thousands of goods. No matter what one is looking for, there is a good chance it will be up for bid on eBay or some other online auction site.
Although consumers rave about the advantages of shopping online, many would be quick to point out the negative aspects as well. For example, one major drawback of Internet shopping is the waiting period between the time merchandise is purchased and the time it is delivered. During peak holiday seasons, the backlog on orders can be phenomenal. Even if an order is not backlogged, long waits often occur because of inefficient order processing or mislabeling of packages.
Another drawback in the use of such systems relates to shipping and handling fees. When consumers purchase goods over the Internet, shipping costs, especially when solely selected by the seller, can be quite high. In some cases, the shipping fees can actually exceed the price of the good itself. However, the reality of such commerce is that the transacting parties will rarely be within driving distance of one another. As a result, consumers and merchants alike have come to rely heavily on shipping providers such as UPS to deliver their online purchases.
A buyer's lack of control represents another problem facing on-line shoppers. Currently, when merchandise is purchased through eBay or any other retailer, it is the seller that controls shipping. The seller generally bears the responsibility of selecting the means of delivery and paying the delivery fees. The role of the buyer in such prior art situations is much more passive, generally amounting to the reimbursement of shipping and handling fees. About the only way for the customer to reduce shipping costs is to request that the seller use a less expensive shipping service. For example, the choice could be to have the goods shipped using ground delivery, as opposed to air delivery. Even after selecting a specific shipping service and paying the shipping fees, the customer still has to rely on the seller to put the correct address on the shipping label. Shipping delays are often caused by incorrectly populated shipping labels.
Although it makes some sense for the seller to control shipping to a certain extent, due to the seller's possession of the goods, there is a need in the art for a system that provides the buyer with more control over the shipping process. Therefore, an unsatisfied need exists in the art for improved methods and systems for providing buyers with greater control over the process for shipping goods sold to them that overcomes the deficiencies in the prior art, some of which are discussed above.